1. On a server that does not support the CAP command at all, such as ircu (QuakeNet), the first time after connecting that the user tries an invalid command, the resulting "421 <command> Unknown command" numeric will be hidden, even if that command is not "CAP". I believe mIRC should only hide the 421 if mIRC has not received a reply to its own CAP request and the command in the 421 is "CAP".
2. On an ircd that does support the CAP command, such as ircd-seven (FreeNode), the output of eg "/cap ls" (returned in the form of another CAP command) will not be shown. I believe that after having connected, mIRC should show the output of the CAP commands to the user somehow.